Critical Essay on Cadbury

Cadburys Coporate Social Responsibility Businesses these days atomic number 18 much different from how it was in previous generations. Nowadays, hostelry impacts that corporation has is not only active scotch power, instead it has also gone into corporate tender responsibilities. Cadbury is an international company that is the second largest confectionary company in the world. (Factbox British confectioner Cadbury 2010).Therefore, they have a bigger impact to affect both(prenominal) officially and nixly on the companionship as they have a bigger influence and power on the society due to their dominance in market sh be. In this essay, it will go in depth about the performance of Cadbury in relation to its corporate social responsibility. This essay will explain and argue a balanced argument about the negative and positive impact Cadbury has today on its society by analyzing their Cadbury Community programme and their association with boor labour.Negative Social Responsibilit y of Cadbury According to a documentary called thrall on the BBC, it documented drinking chocolate beans yield and how it is related to child labour, in the documentary, it focused on Cadbury, aiming at them about that negative social responsibility that they have. The reason for child labour in the hot chocolate production is because of the prices that are set on the cocoa beans is rattling low when it is sold. For example, farmers are only selling their cocoa beans for only a mere means of money, therefore they would want to adopt more than profit.The only focussing to do that is to get cheaper labour so that their expenses are not so high which would result in higher revenue earned at the end of the day. Since child labour is one of the cheapest labour in the world, it is the top choice for labour to keep cost down would be child labour. In a brighter light, not everyone was affected by the low priced cocoa beans. For example, Cadbury was salve able to employ many quit e a little approximately the world and still kept their product prices down to continue attracting their customers.However, Cadbury was later seen as a supporter of child labour. Reason being, Cadbury were buying the cocoa beans from the farmers that were using child labour for their cocoa beans production. This in turn makes Cadbury a supporter of child labour as well as they are purchasing the beans from the farmers which encourages them to continue that they are doing. The consumers later came into conclusion that the low prices of Cadburys chocolate were not worth the childrens tough cheap labour in the developing countries.Read Critical Essay about Skurzynskis NethergraveThe worlds largest cocoa producer, Cote dIvoire has given the possibility of Cadbury to demand the cocoa beans at a very low price. (World Cocoa Production. n. d. ) As they are the largest producers, they have more control of the cocoa prices around the world. To tho exxagerate how much farmers of the cocoa production are getting paid, an example would be, for every kilogram of cocoa beans that a farmer harvest, they are getting paid almost the same amount of how much a obviate of chocolate consumers pay for consumption. Which in most cases, would be a range of a dollar to cardinal dollars. (Olivier. 2012. . This is not following their policies that Cadbury should be following under their code of conduct (Our Business Principles. 2008. ). In the document, it states that it is their responsibility, both corporate and social to make sure that there are proper and honorable practices to manage the worry. respectable issues such(prenominal) as human rights, ethical trading and employment practices are considered when business is done in Cadbury. However, that is not much of the case when Cadbury is purchasing low and unfairly priced cocoa beans from the farmers. This is against their ethical values of ethical trading.Reason being, as mentioned above in this essay, by purchasing the bea ns at such a low cost, it is back up the farmers to hire more child labourers in night club to keep their cost of production down and to gain more revenue earned. The stakeholders that are mostly affected would be the children that are forced to work at the farms to harvest the cocoa beans. Working at the farms does not only mean long working hours with very little pay, it also center that they capability get beaten often due to carelessness at work or not meeting the expected weight of cocoa beans.It also means that they might not even get paid after working long hours with no food (Cocoa Campaign. n. d. ). By the year 2003, Cote dIvoire, which is the worlds largest cocoa producing nation, had about 109,000 child labourers ( republic Reports on Human Rights and Practices. 2003). come out of the closet of the 109,000 children, more than half of them were said to be working on their own farms owned by their parents. The reprieve of the children, which consists of about 10,000 o f them, are working as slaves or are being trafficked.By working on the farms, it means that the children are not given a chance to go to school to increase their knowledge or to further their education. This would therefore result in a vicious cycle of people depending solely on cocoa farming in order to earn enough money to meet their basic bespeaks. For example, when a child is forced to work on the farms, he will not be able to escort school to gain knowledge to have a chance to get out of the country to work. Since he is stuck on the farm, he will grow up only with the knowledge on how to harvest cocoa beans.His main concern would be to maintain the farm and to earn more money for his family. In order to earn more money, it means that he has to harvest more cocoa beans. Therefore, he will need more jock at the farm. Therefore, he will want to get as much help from his children to increase the cocoa beans production. This would continue in a cycle. Cadbury did try to solve th e problem that they have do by sourcing their cocoa beans from Ghana, the second largest cocoa producer instead of from Cote dlvoire. However, many people still are uncertain about their unbent motives to really solve the problem created.Reason being, back in 2001, the chocolate Manufacturers Association (CMA) which consisted of large chocolate confectionary companies such as M, Cadbury and Mars Inc. decided to make a yell that their cocoa beans production would be free of child labourers by 2005, July. The commitment was made to the Cocoa application Protocol (CIP) (Protocol for festering and Processing of Cocoa Beans and Their Derivative Products. 2001. ). Although some(prenominal) large chocolate confectionary companies signed the CIP, no(prenominal) of them were able to meet the criteria of the commitment.Therefore, the dateline was extended and the percentage of their cocoa beans to come from childfree labourers was also reduced. Cadbury has recently ego publicized tha t their products are now labeled as Fair Trade Certified (About Fairtrade n. d. ) which means that in command perception, a minimum price is to be directly paid to the cocoa producers which would hopefully reduce child labour. However, this is not the case reason being, when farmers are paid the minimum sum of money for their cocoa beans by the Fair Trade premiums, they will still have to minus off the a huge sum of their profit.So what exactly are reducing the farmers profit? They are the administrative expenses, operating costs, business reinvestments and other social costs (Fairtrade Certified Frequently Asked Questions Advanced n. d. ). Therefore, at the end of the day, cocoa farmers are still earning very little. This was just a spin doctoring made by Cadbury to change the publics perception of Cadburys wrong doings. Positive Social Responsibility of Cadbury Cadbury does not only have negative corporate social responsibilities, instead, they are doing well in their work for the local communities around the world.Cadbury has donated some of their internet back to the community. Although this is just a mere 1% of their profit before tax, it is still something as some other companies are not even contributing back to the society at all (Working together to Make a Difference in the Community n. d. ). Cadbury also has a community that helps in the societys health, welfare, enterprise, education and environmental sustainability. For example, Cadburys Miles for Smiles event involves employees to walk between their two factories and raise pecuniary resource for to raise funds for the less fortunate.Adding on, Cadbury has also donated to charities, sponsored to countries to help with their developments, developed programmes to help the less fortunate around the world. All these work was done voluntarily by Cadbury. Therefore, it displays the positive side of their companys social responsibility to give back to the society. Conclusion Although Cadbury has don e many negative impacts on the society, they had their fair section of making the world a better place by contributing back to the society as much as they can.Some of the public might still find that Cadbury has a lack of empathy towards ethical issues such as child labour. This might affect Cadburys reputation as this would be a hard point to erase form the consumers mind. Which means that no matter how much positive things that Cadbury does, at the back of the consumers mind, they will al representations remember the negative impact that Cadbury had caused that is now hard to resolve. And although Cadbury is move hard to contribute back positively to the society, the public might see is as a way for Cadbury to advertise themselves more.Therefore, in order to keep up the good reputation and try to convert more of the public to view them positively, Cadbury has to keep up with their moral integrity and ethical guidelines, which is seen as a positive action by the public. Work Cite d About Fairtrade. n. d. http//www. fairtrade. com. au/about (accessed August 31, 2010) Cocoa Campaign. n. d. http//www. laborrights. org/stop-child-labor/cocoa-campaign (accessed August 30, 2010) Country Reports on Human Rights and Practices. 2003. http//www. state. gov/g/drl/rls/hrrpt/2003/27723. htm (accessed August 30, 2010)Factbox British confectioner Cadbury. 2010. http//uk. reuters. com/article/idINTRE60D1XX20100114? pageNumber=2=0=true (accessed August 30, 2010) Fairtrade Certified Frequently Asked Questions Advanced. n. d. http//www. transfairusa. org/content/resources/faq-advanced. phpindividuals (accessed August 31, 2010) Our Business Principles. 2008. http//collaboration. cadbury. com/SiteCollectionDocuments/English%20Booklet. pdf (accessed August 30, 2010) Olivier, M. 2012. Ivory lantern slide Cocoa Farmers to Put Pay Raise in Crop Output. http//www. bloomberg. om/news/2012-10-05/ivory-coast-cocoa-farmers-to-put-pay-raise-in-crop-production. html (accessed April 2, 20 13). Protocol for Growing and Processing of Cocoa Beans and Their Derivative Products. 2001. http//www. cocoainitiative. org/images/stories/pdf/harkin%20engel%20protocol. pdf (accessed August 31, 2010) Working Together to Make a Difference in the Community. n. d. http//www. cadbury. com. au/Cadbury-Community. aspx (accessed August 31, 2010) World Cocoa Production. n. d. http//www. zchocolat. com/chocolate/chocolate/cocoa-production. asp (accessed April 2, 2013).